Chapter 10 Change Funds

Transcription

1 Chapter 10 Change Funds Schools have the option to establish a change fund that sponsors can use to make change at school events. Depending on the number of school events, the size of the events, and the duration of the events, each school s change requirements will vary. Schools should establish a change fund that is sufficient to cover all campus events, and money from the change fund may be signed in and out by event sponsors. Prior to an event the sponsor should contact the school bookkeeper to make sure ample change is available to meet the event requirements, and the bookkeeper will use money from the school s change fund to set up a cashbox for the sponsor s use during the event. The bookkeeper will log the cashbox out to the sponsor by entering a Cash Out transaction in the Cashbox module of School Cash Accounting. This will post a temporary expense to the category number of the sponsoring account. At the conclusion of the event, the sponsor must return the cashbox to the bookkeeper. CASHBOXES MUST NOT BE INCLUDED AS EVENT INCOME AND THE CASHBOX MAY NOT BE DEPOSITED WITH THE EVENT PROCEEDS. Upon receipt of the cashbox, the bookkeeper will log a Cash In transaction in the Cashbox module of School Cash Accounting using the category number of the sponsoring account, which will reverse the temporary expense that was recorded when the cashbox was signed out to the event sponsor. When not in use at an event, all change funds must be secured in the school safe. At the conclusion of each event the sponsor must return the cashbox to the bookkeeper or change fund custodian so it can be logged back in and secured in the school safe. Cashboxes must be verified by the bookkeeper and the event sponsor whenever they are signed in or out and both parties must sign a hard copy of the Cash In and Cash Out transactions to document the date, time, and amounts that were confirmed by both parties when the cashbox transferred custody. At the close of each fiscal year, the bookkeeper will make a separate deposit to close the Change Fund. A new change fund may be established in July when the new school year begins by going to the Treasury Department s web page and completing a Request for Change Form specifying the amount of coin and currency by denomination, then the form to TreasuryDepartment@palmbeachschools.org. Expect a change order delivery from the armored car service within 5 7 business days. Establishment of a Change Fund by Accounting Services Contact Accounting Services/FAST Team to activate the Cashbox module in School Cash Accounting. From the main menu Select Program Maintenance > Account Settings Check Enable Cashbox checkbox under Board/District settings Check Enable Cashbox checkbox under Standard Settings Internal Accounts Manual (6/17) 1 Chapter 10

2 On the main menu, the school will now have a menu item in the Expense Activities area named Change Funds Cashbox Establish a Change Fund category in School Cash From the main menu My School Information section, select the Category (Chart of Accounts) menu item and sort the list by category number to see if a Change Fund category already exists on the chart of accounts If not, establish a category number named Change Fund Click on Category Umbrella and add a Category Umbrella Name of CASHFLOAT and if it does not already exist Assign the Change Fund category to the CASHFLOAT umbrella Order the Change from Treasury Go to the Treasury Department web page from the District s main page Complete the Request for Change form on Treasury s web page and it to TreasuryDepartment@palmbeachschools.org The armored car service will deliver the change order in 5 7 business days Place currency and coin in a locked box and secure the change fund in the school safe This opens the Change Fund category on the general ledger. Once you receive your bank statement and the debit is listed, record a Debit Memo using the Change Fund category in the Reconciliation Module. Log the Beginning Change Fund Balance in the Cashbox Module of School Cash Accounting From the main menu go to the Expense Activities section and select the Change Funds menu item, the click CASHBOX MAINTENANCE and ADD A CASHBOX Enter the name of the Change Fund Return to the Cashbox Menu Select the Change Fund established above from the dropdown list and click Open Selected Cashbox Record the initial balance by processing a Cash In transaction Enter the following information: o DATE the date the change fund was established o CATEGORY the category number of the change fund o GIVEN TO the change fund custodian s name o REASON a description of the transaction or event, such as SET UP CHANGE FUND o DEPOSIT the amount of the initial change fund o TRANSACTION CODE Miscellaneous Income Internal Accounts Manual (6/17) 2 Chapter 10

3 Click Continue to establish the change fund beginning balance, then click the SAVE icon In the example shown above a $500 change fund was established in the Cashbox module of School Cash. Sign a Cashbox OUT to an Activity Sponsor The sponsor and bookkeeper should determine the appropriate cashbox amount for each school event From the main menu go to Expense Activities and select the Change Funds Cashbox menu item Select the Change Fund from the dropdown menu and click the OPEN SELECTED CASHBOX button Select Cash Out to sign the cashbox out to a campus activity Enter the following information: o DATE the date the cashbox was signed out o CATEGORY the category number associated with the activity o GIVEN TO the sponsor name o REASON a description of the school event Internal Accounts Manual (6/17) 3 Chapter 10

4 o DRAW the amount of change in the sponsor s cashbox o TRANSACTION CODE select Miscellaneous Expense Click Continue to create a temporary expense in the sponsoring account and click the SAVE icon Click the gray Modify tab, then print the screen (from the Windows toolbar, select File/Print Preview/Print and print the page) to create a printed copy of the Cash Out transaction Have the sponsor and the bookkeeper verify the change in the cashbox contents and sign the print screen to confirm the amount of the cashbox at the time it was issued Retain the signed print screen as documentation that the sponsor took custody of the cashbox In the example shown above the sponsor of the football game received a $200 cashbox. The print screen of this transaction would be signed by the sponsor and retained with the Change Fund documentation. Internal Accounts Manual (6/17) 4 Chapter 10

5 Sign a Cashbox IN from an Activity Sponsor From the main menu go to Expense Activities and select the Change Funds Cashbox menu item Select the Change Fund from the dropdown menu and click the OPEN SELECTED CASHBOX button Select Cash In to sign the cashbox in from the activity sponsor Enter the following information: o DATE the date the change bank was signed in o CATEGORY the category number associated with the activity o GIVEN TO the sponsor name o REASON a description of the transaction or event o DEPOSIT the amount of change returned by the sponsor o TRANSACTION CODE use Miscellaneous Income Click Continue to reverse the temporary expense in the sponsoring account and click the SAVE icon Click the gray Modify tab, then print the screen (from the Windows toolbar, select File/Print Preview/Print and print the page) to create a printed copy of the Cash In transaction Have the sponsor and the Bookkeeper verify the change in the bank and sign the print screen to confirm the contents of the cashbox at the time of its return Retain the signed print screen as documentation that the sponsor relinquished custody of the cashbox File the signed copies of the Cash Out and Cash In with the Cashbox Transaction Detail Report for audit purposes Internal Accounts Manual (6/17) 5 Chapter 10

6 In the example shown above the sponsor of the football game returned the $200 cashbox to the change fund custodian. Recording Change Fund Errors in School Cash and Cashbox In the event a sponsor returns a change fund for less than the issue amount, or if a sponsor deposits the change fund in error, it will be necessary to record that transaction in the Change Fund general ledger account in School Cash Accounting and make a corresponding entry in the Cashbox module. Record the shortage in the Change Fund general ledger account in School Cash Accounting: From the Main Menu, go to General Activities and select Bank Reconciliation. Make sure the bank reconciliation reflects the current month and click the Continue button. Add a record to enter a CREDIT MEMO to the Change Fund account in the bank reconciliation module of School Cash Accounting for the amount of the shortage. Add a record to enter a DEBIT MEMO to the sponsoring activity account in the bank reconciliation module of School Cash Accounting for the amount of the shortage. Since the two entries cancel one another out, check off both entries as reconciled. Save the bank reconciliation to finish later when the bank statement arrives. Internal Accounts Manual (6/17) 6 Chapter 10

7 Record a Cash In entry to reverse the temporary entry made when the cashbox was issued: From the main menu go to Expense Activities and select the Change Funds Cashbox menu item Process a Cash In entry to reverse the temporary entry to the sponsoring account. Enter the following information: o DATE the date the change bank was signed in or the date the shortage occurred o CATEGORY the category number associated with the activity o GIVEN TO the sponsor name o REASON a description of the transaction or event o DEPOSIT the amount of change that was issued to the sponsor o TRANSACTION CODE use Miscellaneous Income Click the gray Modify tab, then print the screen (from the Windows toolbar, select File/Print Preview/Print and print the page) to create a printed copy of the Cash In transaction Record a Cash Out entry to adjust the cashbox balance and record the cashbox shortage: Process a Cash Out entry to record the shortage. Enter the following information: o DATE the date the cashbox shortage occurred o CATEGORY specify the Change Fund category, o GIVEN TO the sponsor name o REASON Cash Box shortage and a description of the school event o DRAW the amount of the shortage o TRANSACTION CODE select Miscellaneous Expense Click the gray Modify tab, then print the screen (from the Windows toolbar, select File/Print Preview/Print and print the page) to create a printed copy of the Cash Out transaction Staple both print screens together and obtain the bookkeeper s and sponsor s signature on both documents and retain the signed print screens to document the cash box shortage. Internal Accounts Manual (6/17) 7 Chapter 10

8 Close the Change Fund at the End of the Fiscal Year Print the Detailed Transaction Report from the Cash Box Menu to confirm all cashboxes that were signed out have been returned From the Cashbox Menu click the PRINT button and select Detailed Transaction Report from the dropdown list Print the report and confirm that all Cash Out entries have a corresponding Cash In entry and that the overall change fund balance reflects the original balance that established the fund Count the cash and coin in the change fund this should agree with the last figure in the Running Total column of the Cashbox Transaction Detail Report Return to the Cashbox Menu and select the Change Fund from the dropdown list, then click the OPEN SELECTED CASHBOX button to record the final Cash Out entry and close the change fund Select Cash Out and enter the following information: o DATE the date the change fund was closed o CATEGORY the category number for the change fund o GIVEN TO the bank o REASON a description of the transaction or event, such as CLOSE CHANGE FUND o DRAW the amount that was closed out of the change fund at the close of the year (which should agree with the original change fund total) o TRANSACTION CODE Miscellaneous Expense Go to the Cashbox Menu to print the Detailed Cash Box Transaction Report and retain for audit purposes The Deposits and Draws should be equal and the running total should be $0.00 as shown in the following example Internal Accounts Manual (6/17) 8 Chapter 10

9 In the example shown above the change fund of $500 was returned by the change fund custodian for deposit to close the Cashbox module of School Cash at the end of the fiscal year. Deposit the Cash and Coin from the Change Fund into the School Checking Account Record a separate deposit in School Cash using account number using Transaction Code: Miscellaneous Income Add the deposit to the ledger and use a separate deposit slip and bag for the change fund deposit Confirm that the Change Fund has a zero balance on the ledger From the main menu, School and Category Information > List View > Click Category Number column header to sort categories by number Confirm the current balance in the Change Fund category is zero This closes the Change Fund category on the general ledger. In July the school can re open the change fund by issuing a check and completing the rest of the steps to re establish the change fund for the new fiscal year. Internal Accounts Manual (6/17) 9 Chapter 10

10 Records Retention At the end of the fiscal year, the bookkeeper must print the Cashbox Transaction Detail Report showing all change fund activity for the year. File the signed Cash Out and Cash In vouchers with the report as part of the year end files, which must be retained on campus in a secure location for five years. School Cash Online Resources Bookkeepers have three online options available to assist with Change Fund processing in School Cash. Tip Sheets short illustrations of specific tasks click on the Information icon at the top of the page to get step by step instructions from the School Cash experts. Enter user ID SCN and Password CASH to access the tip sheets. Resource Center from the main menu go to My School Information and click on the Resource Center to see an indexed list of questions and answers from end users and video clips demonstrating specific tasks in School Cash Accounting. User Guide Located at the bottom of every page Cashbox processing is covered in a video clip as part of the online user guide. Enter user id SCN and password CASH to access the online user guide. Internal Accounts Manual (6/17) 10 Chapter 10